Penn Company uses a periodic inventory system. At the end of the annual accountingperiod, December 31, 2015, the accounting records provided the following informationfor product 1:Inventory, December 31,2014For the year 2015:Purchase, March 21Purchase, August 1Inventory, December 31,2015Ending inventoryCost of goods soldUnits Unit Cost1,820$4FIFO5,0102,8804,120Required:Compute ending inventory and cost of goods sold under FIFO, LIFO, and average costinventory costing methods. (Round "Average cost per unit" to 2 decimal places andfinal answers to nearest whole dollar amount.)6LIFOAverage Cost

Inventory valuation Inventory valuation is a method of accounting that companies use to determine…

Penn Company uses a periodic inventory system. At the end of the annual accounting period, December 31, 2015, the accounting records provided the following information for product 1: Inventory, December 31, 2014 For the year 2015: Purchase, March 21 Purchase, August 1 Inventory, December 31, 2015 Units 1,820 5,010 2,880 4,120 Unit Cost $4 6 7

Penn Company uses a periodic inventory system. At the end of the annual accounting period, December 31, 2015, the accounting records provided the following information for product 1: Inventory, December 31, 2014 For the year 2015: Purchase, March 21 Purchase, August 1 Inventory, December 31, 2015 Units 1,820 5,010 2,880 4,120 Unit Cost $4 6 7

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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